Somnigroup International Inc. (SGI)
Gross profit margin
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Gross profit | US$ in thousands | 2,128,700 | 2,049,600 | 2,158,700 | 1,638,400 | 1,342,200 |
| Revenue | US$ in thousands | 4,925,400 | 4,921,200 | 4,930,800 | 3,676,900 | 3,106,000 |
| Gross profit margin | 43.22% | 41.65% | 43.78% | 44.56% | 43.21% |
December 31, 2023 calculation
Gross profit margin = Gross profit ÷ Revenue
= $2,128,700K ÷ $4,925,400K
= 43.22%
Based on the data provided, Somnigroup International Inc.'s gross profit margin has exhibited some fluctuations over the five-year period from 2019 to 2023. The gross profit margin increased from 43.21% in 2019 to 44.56% in 2020, reflecting an improvement in the company's ability to generate profit from its sales. However, in the subsequent years, the gross profit margin experienced some variability, with a slight decline to 43.78% in 2021, a notable drop to 41.65% in 2022, and a recovery back to 43.22% in 2023.
The overall trend in the gross profit margin indicates that the company has managed to maintain relatively healthy levels of profitability, with some fluctuations in its efficiency of production and cost management. The variation in the gross profit margin could be attributed to factors such as changes in pricing strategies, input costs, and operational efficiencies.
It is important for Somnigroup International Inc. to closely monitor and analyze the drivers behind these fluctuations in the gross profit margin to ensure sustainable and profitable operations in the future. Additionally, the company may need to consider implementing strategies to stabilize and potentially improve its gross profit margin in order to enhance its overall financial performance.
Peer comparison
Dec 31, 2023